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USAA Preferred Cash Rewards Visa Signature Card Review

USAA Preferred Cash Rewards Visa Signature Card Review

*Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It may not have been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through a credit card issuer partnership.

This article was last updated Oct 19, 2020. Terms and conditions may have changed. For the most accurate information, please consult the issuer website.

If you’re a military member or an eligible family member looking for a simple cashback card, the USAA® Preferred Cash Rewards Visa Signature® Card has a flat-rate cashback program that’s easy to use.

There’s also a broader range of benefits than you might find on some competing no-annual-fee cards. However, there are cards with higher cashback rates. We break down what this card offers and where it falls short so you can decide if it’s right for you.

  • 1.5% cash back on all qualifying purchases

  • Rental Car Insurance, Concierge Services, Price Protection, & more

  • $0 annual fee, no penalty APR & no foreign transaction fee

Highlights
  • Earn 1.5% cash back on every purchase with no limits or category restrictions
  • Pay no annual fee, no penalty APR and no foreign transaction fees
  • USAA membership is available to active and former military and their eligible family members
  • See Rates & Fees

See additional details for USAA® Preferred Cash Rewards Visa Signature® Card

More Info

USAA® Preferred Cash Rewards Visa Signature® Card pros

Rewards. 1.5% cash back on all qualifying purchases

Cash back can be redeemed as a statement credit or a deposit into a USAA checking or savings account. Some credit cards have a minimum redemption requirement of $25, but you can redeem cash back earned with the USAA® Preferred Cash Rewards Visa Signature® Card starting at $1.

No annual fee. Since the annual fee for this card is $0, any rewards you earn are net cash back in your wallet (as long as you don’t incur interest charges by rolling over a balance).

No foreign transaction fee. When traveling outside the United States, you can take this card along without having to worry about paying an extra fee on every transaction — there is n/a.

Concierge services. Whether you need advice on restaurants or gifts, or you’re trying to arrange travel or concert tickets, get help from a concierge that’s available 24/7.

Extended warranty protection. On an original manufacturer’s warranty of three years or less, add up to a year of additional protection when you buy the item with this credit card.

Potentially low APR. This card’s APR is 11.90% - 25.90% variable. However, if your credit score isn’t great, you risk ending up with a very high APR.

Plus, when you enter qualified military service, debt that you incurred on the credit card before that point will qualify for a reduced APR of 4%. This is better than the 6% reduced interest rate required for credit cards by the Servicemembers Civil Relief Act (SCRA).

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Additional travel benefits*, including:

  • Auto rental collision damage waiver. When you rent an eligible vehicle for 31 consecutive days or less, you may be covered for damage or theft, reasonable loss of use charges and towing charges.
  • Travel and emergency assistance. Get help 24/7 with medical and legal referrals, prescription assistance, travel planning and more when traveling anywhere in the world.
  • Trip cancellation and interruption coverage. When you pay for travel on a common carrier (such as an airplane or train) and cancel travel or cut your trip short due to covered situations like accidental injury or physical illness, you may be reimbursed up to $1,500.
  • Travel accident insurance. Pay for your trip with your card and you may receive coverage for accidental death or dismemberment up to a maximum of $500,000.
  • Baggage delay reimbursement. If you use your card to pay for your trip fare and your baggage is delayed more than four hours, you may be reimbursed for incidentals up to $100 a day for three days.

*Terms apply. Refer to your Guide to Benefits for more detail.

USAA® Preferred Cash Rewards Visa Signature® Card cons

Not everyone is eligible. The USAA® Preferred Cash Rewards Visa Signature® Card is only available to USAA members. To qualify for USAA membership, you must be a U.S. military service member or veteran, a precommissioned officer or an eligible family member.

Competing cards offer higher rewards. Earning 1.5% cash back is a fair rewards rate. However, some other flat-rate credit cards offer up to 2% cash back on every purchase.

Compare it with the Citi® Double Cash Card – 18 month BT offer

  • Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases.

  • 0% for 18 months on Balance Transfers

  • 13.99% – 23.99% (Variable)

Highlights
  • Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases.
  • To earn cash back, pay at least the minimum due on time.
  • Balance Transfer Offer: 0% intro APR on Balance Transfers for 18 months. After that, the variable APR will be 13.99% – 23.99%, based on your creditworthiness.
  • Balance Transfers do not earn cash back.
  • If you transfer a balance, interest will be charged on your purchases unless you pay your entire balance (including balance transfers) by the due date each month.
  • There is a balance transfer fee of either $5 or 3% of the amount of each transfer, whichever is greater.
  • The standard variable APR for Citi Flex Plan is 13.99% – 23.99% based on your creditworthiness. Citi Flex Plan offers are made available at Citi's discretion.
  • See additional Citi® Double Cash Card – 18 month BT offer details

See additional details for Citi® Double Cash Card – 18 month BT offer

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For consumers who aren’t USAA members or who would like to earn a higher, flat cashback rate on purchases, take a look at the Citi® Double Cash Card .

USAA® Preferred Cash Rewards Visa Signature® Card vs. Citi® Double Cash Card

 USAA® Preferred Cash Rewards Visa Signature® CardCiti® Double Cash Card
Rewards1.5% cash back on all qualifying purchasesEarn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases.
Annual fee$0$0
Foreign transaction feeN/A3%
Regular purchase APR11.90% - 25.90% variable APR13.99% – 23.99% (variable) APR
Intro balance transfer offerN/A0% for 18 months on balance transfers, then an APR of 13.99% – 23.99% (variable) will apply.

If you’re looking for the opportunity to earn a higher cashback rate or want to save on interest charges by transferring high-interest balances on another card, the Citi® Double Cash Card is the better choice.

Unfortunately, neither of these cards offers a sign-up bonus. If you want a flat-rate card that comes with an easy-to-earn sign-up bonus, the Capital One Quicksilver Cash Rewards Credit Card earns 1.5% cash back on every purchase, every day and also offers new cardholders a one-time $200 cash bonus after you spend $500 on purchases within 3 months from account opening.

  • Unlimited 1.5% Cash Back on every purchase, every day

  • 0% intro on purchases for 15 months, then 15.49% - 25.49% (Variable)

  • No minimums for redeeming and cash back won't expire for the life of the account

Highlights
  • One-time $200 cash bonus after you spend $500 on purchases within 3 months from account opening
  • Earn unlimited 1.5% cash back on every purchase, every day
  • No rotating categories or sign-ups needed to earn cash rewards; plus, cash back won't expire for the life of the account and there's no limit to how much you can earn
  • 0% intro APR on purchases for 15 months; 15.49%-25.49% variable APR after that
  • Pay no annual fee or foreign transaction fees

See additional details for Capital One Quicksilver Cash Rewards Credit Card

More Info

Is the USAA® Preferred Cash Rewards Visa Signature® Card right for you?

Consumers who are active military service members, veterans, or eligible family members can join USAA and apply for this card. It’s comes with a competitive flat-rate rewards and decent benefits for a no-annual-fee card.

However, if you don’t qualify for USAA membership and want to earn a higher cashback rate as well as a generous balance transfer offer, the Citi® Double Cash Card will be a better fit.

For those who want to earn more than 2% back, consider a cashback card that offers a higher rate in select categories or a rotating card with categories that change every quarter. And if you need a credit card with travel-specific rewards and benefits, see our list of best travel cards.


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